Oluwatosin A. Olofinsao, Jingjing Wang, Robert P. Berrens
{"title":"Reuse of treated municipal wastewater in drylands: Multi-sector optimization analysis for middle Rio Grande case study","authors":"Oluwatosin A. Olofinsao, Jingjing Wang, Robert P. Berrens","doi":"10.1016/j.jup.2025.101941","DOIUrl":null,"url":null,"abstract":"<div><div>Growing populations and water demands in drylands, exacerbated by climate change, strain freshwater resources. This study constructs a regional, multi-sector optimization model to explore the economic effects of alternatives for reusing treated municipal wastewater (TMW) in drylands. Focusing on the Middle Rio Grande Basin in the southwestern state of New Mexico, USA, this investigation innovatively considers agriculture as a nutrient sink. The analysis develops a theoretical optimization model for TMW reuse across three sectors simultaneously: agricultural (commercial farming); urban (greenspace provision); and environmental (river instream flow provision). A constrained optimization is used to calculate the value of water in the commercial crop farming sector, and the benefit transfer approach is used to obtain water values in the urban and environmental sectors. Results indicate that water is valued roughly comparably in urban greenspace ($205.26 per acre-foot) and environmental ($220.39 per acre-foot) sectors, and while agriculture acts as a nutrient sink it still realizes a much lower water value ($28.30 per acre-foot). Therefore, it is recommended that policymakers and the municipal authority prioritize the allocation of TMW for environmental flow and urban greenspace. Understanding water's economic value across alternative uses is crucial information for water policy and governance in water-scarce regions.</div></div>","PeriodicalId":23554,"journal":{"name":"Utilities Policy","volume":"95 ","pages":"Article 101941"},"PeriodicalIF":3.8000,"publicationDate":"2025-04-26","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":"0","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"Utilities Policy","FirstCategoryId":"96","ListUrlMain":"https://www.sciencedirect.com/science/article/pii/S0957178725000566","RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"Q3","JCRName":"ENERGY & FUELS","Score":null,"Total":0}
引用次数: 0
Abstract
Growing populations and water demands in drylands, exacerbated by climate change, strain freshwater resources. This study constructs a regional, multi-sector optimization model to explore the economic effects of alternatives for reusing treated municipal wastewater (TMW) in drylands. Focusing on the Middle Rio Grande Basin in the southwestern state of New Mexico, USA, this investigation innovatively considers agriculture as a nutrient sink. The analysis develops a theoretical optimization model for TMW reuse across three sectors simultaneously: agricultural (commercial farming); urban (greenspace provision); and environmental (river instream flow provision). A constrained optimization is used to calculate the value of water in the commercial crop farming sector, and the benefit transfer approach is used to obtain water values in the urban and environmental sectors. Results indicate that water is valued roughly comparably in urban greenspace ($205.26 per acre-foot) and environmental ($220.39 per acre-foot) sectors, and while agriculture acts as a nutrient sink it still realizes a much lower water value ($28.30 per acre-foot). Therefore, it is recommended that policymakers and the municipal authority prioritize the allocation of TMW for environmental flow and urban greenspace. Understanding water's economic value across alternative uses is crucial information for water policy and governance in water-scarce regions.
期刊介绍:
Utilities Policy is deliberately international, interdisciplinary, and intersectoral. Articles address utility trends and issues in both developed and developing economies. Authors and reviewers come from various disciplines, including economics, political science, sociology, law, finance, accounting, management, and engineering. Areas of focus include the utility and network industries providing essential electricity, natural gas, water and wastewater, solid waste, communications, broadband, postal, and public transportation services.
Utilities Policy invites submissions that apply various quantitative and qualitative methods. Contributions are welcome from both established and emerging scholars as well as accomplished practitioners. Interdisciplinary, comparative, and applied works are encouraged. Submissions to the journal should have a clear focus on governance, performance, and/or analysis of public utilities with an aim toward informing the policymaking process and providing recommendations as appropriate. Relevant topics and issues include but are not limited to industry structures and ownership, market design and dynamics, economic development, resource planning, system modeling, accounting and finance, infrastructure investment, supply and demand efficiency, strategic management and productivity, network operations and integration, supply chains, adaptation and flexibility, service-quality standards, benchmarking and metrics, benefit-cost analysis, behavior and incentives, pricing and demand response, economic and environmental regulation, regulatory performance and impact, restructuring and deregulation, and policy institutions.